we have seen that pope benedict only found out from watching television that gotti tedeschi had been expelled, and it made him cry. >> narrator: if the pope was disturbed by his failure to reform the bank another blow to his authority was greater by far. it would be called vatileaks. gianluigi nuzzi is a television journalist in milan. he had written a book, vatican ltd, about the vatican's business dealings. one evening, he received a mysterious phone call from someone promising inside information. he was invited to a bar in rome. after a series of meetings the strangers invited him for a ride in their car. >> (translated): they went around piazza mazzini many times, checking that nobody was following us. later, i understood the reasons. i was aboutoto meet a certain person, and it would be very dangerous if anyone came to know that this person had seen me. >> narrator: finally, nuzzi was taken to an apartment. >> and i could see that nobody lived there. there was no furniture. there was nothing. it was an empty apartment, just a corridor that we walked down until we reached a room

ethics to reform the bank. >> (translated): gotti tedeschi set about building relationships with the international organizations and indicated that all regulations and standards must be applied to bring the ior into line with all the other banks operating in europe. he wanted to really clean up the bank, but in the vatican there were people who didn't want that. >> narrator: cardinal bertone, pope benedict's second in command, had been closely involved with the bank. he now insisted that the measures could not be applied retrospectively. >> cardinal bertone was adamant. "no, we will only allow them to look at what we are doing from this day forward. but the stuff from the past, you have no right to look at that." >> (translated): this was a drastic limitation on the information available to us. >> narrator: cardinal bertone had outmaneuvered tedeschi who was then dismissed from his post. a devout catholic, he said "i was very disappointed hurt and upset. i had been abandoned by the world of my church. it was so painful." >> (translated): we have seen good people like the ex-president